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The 
NORTH CAROLINA 

REGISTER 



IN THIS ISSUE 



JUL 17 I93g 



SI 



PROPOSED RULES 

CPA Examiners 

Commerce 

Cultural Resources 

Human Resources 

NRCD 

State Personnel 

FINAL RULES 
Correction 



ISSUE DATE: JULY 1 4, 1 989 



Volume 4 • Issue 8 • Pages 455-477 



INFORMATION ABOUT THE NORTH CAROLINA REGISTER AND ADMINISTRATIVE CODE 



NORTH CAROLINA REGISTER 

The North Carolina Register is published bi-monthly 
and contains information relating to agency, executive, 
legislati\e and judicial actions required by or affecting 
Chapter 150B of the General Statutes. All proposed, ad- 
ministrati\e rules and amendments filed under Chapter 
150B must be published in the Register. The Register 
will typically comprise appro.ximately fifty pages per 
issue of legal text. 

State law requires that a copy of each issue be pro- 
\ided free of charge to each county in the state and to 
\arious state officials and institutions. 1\\c North CaroUna 
Register is available by yearly subscription at a cost of 
one hundred and five dollars ($105.00) for 24 issues. 

Requests for subscriptions to the Nortli Carolina 
Register should be directed to the Office of Ad- 
ministrati\e Hearings, P. O. Drawer 1 1666, Raleigh, N. 
C. 27604, Attn: Subscriptions. 

ADOPTION, AMENDMENT, AND REPEAL OF 
RULES 

An agenc>' intending to adopt, amend, or repeal a rule 
must first publish notice of the proposed action in the 
Nortli Carolina Register. The notice must include the 
time and place of the public hearing; a statement of how 
public comments may be submitted to the agency either 
at the hearing or otherwise; the text of the proposed 
rule or amendment; a reference to the Statutory 
Authority for the action and the proposed effecti\e date. 

The Director of the Office of Administrative Hearings 
has authority to publish a summary, rather than the 
full text, of any amendment \\ hich is considered to be 
too lengthy. In such case, the full text of the rule con- 
taining the proposed amendment will be a\ailable for 
public inspection at the Rules Di\ision of the Office of 
Administrative Hearings and at the office of the pro- 
mulgating agency. 

Unless a specific statute pro\ides otherwise, at least 
30 days must elapse following publication of the pro- 
posal in the North Carolina Register before the agency 
may conduct the required public hearing and take ac- 
tion on the proposed adoption, amendment or repeal. 

When final action is taken, the promulgating agency 
must file any adopted or amended rule for appro\al b\' 
the Administrati\e Rules Re\iew Commission. Upon ap- 
proval of ARRC, the adopted or amended rule must be 
filed with the Office of Administrati\e Hearings. If it 
differs substantially from the proposed form published 
as part of the public notice, upon request by the agen- 
cy, the adopted \ersion will again be published in the 
North Carolina Register. 

A rule, or amended rule cannot become effecti\'e 
earlier than the first day of the second calendar month 
after the adoption is filed with the Office of Ad- 
ministrati\e Hearings for publication in the NCAC. 

Proposed action on rules may be withdrawn by the 
promulgating agency at an> time before final action is 
taken by the agency. 

TEMPORARY RULES 

Under certain conditions of an emergency nature, 
some agencies may issue temporary rules. A temporary 
rule becomes effecti\e when adopted and remains in 



effect for the period specified in the rule or 180 days 
whichever is less. An agency adopting a temporary ruh 
must begin normal rule-making procedures on the per 
manent rule at the same time the temporary rule i 
adopted. 

NORTH CAROLINA ADMINISTRATIVE CODE 

The North Carolina Administrative Code (NCAC) i; 
a compilation and index of the administrati\'e rules o 
25 state agencies and 38 occupational licensing boards 
The NCAC comprises approximately 15,000 letter size 
single spaced pages of material of which approximate 
ly 35% is changed annually. Compilation and publica 
tion of the NCAC is mandated by G.S. 150B-63(b) 

The Code is divided into Titles and Chapters. Eac 
state agency is assigned a separate title which is fur 
ther broken down by chapters. Title 21 is designatec 
for occupational licensing boards. 

The NCAC is a\ailable in two formats. 

(1) Single pages may be obtained at a minimun 
cost of two dollars and 50 cents ($2.50) for 1( 
pages or less, plus fifteen cents ($0. 1 5) per eac 
additional page. 

(2) The full publication consists of 52 volume; 
totaling in excess of 15,000 pages. It is sup 
plemented monthly with replacement pages, t 
one year subscription to the full publication ir 
eluding supplements can be purchased fo 
seven hundred and fifty dollars ($750.00). Ir 
di\idual \'olumes may also be purchased wit 
supplement service. Renewal subscriptions fo 
supplements to the initial publication available 

Requests for pages of rules or volumes of the NCA( 
should be directed to the Office of Administrativ 
Hearings. 

NOTE 

The foregoing is a generalized statement of the pre 
cedures to be followed. For specific statutory language 
it is suggested that Articles 2 and 5 of Chapter 150B o 
the General Statutes be examined carefully. 

CITATION TO THE NORTH CAROLINA 
REGISTER 

The North Carolina Register is cited by \'olume, issue 
page number and date. 1:1 NCR 101-201, April 1, 198 

refers to Volume 1, Issue 1, pages 101 through 201 o 
the North Carolina Register issued on April 1, 1986. 



North Carolina Register. Published bi-monthly by 
the Office of Administrative Hearings, P.O. Drawer 
1 1666, Raleigh, North Carolina 27604, pursuant to 
Chapter 150B of the General Statutes. Subscriptions 
one hundred and five dollars ($105.00) per year. 
North Carolina Administrative Code. Published 
in looseleaf notebooks with supplement service by 
the Office of Administrative Hearings, P.O. 
Drawer 1 1666, Raleigh, North Carolina 27604, pur- 
suant to Chapter 150B of the General Satutes. 
Subscriptions seven hundred and fifty dollars 
($750.00). Individual volumes available. 



NOR TH 
CAROLINA 
REGISTER 




Ofjicc ofidministtuitivc Hearings 

P.O. Drawer II 6(tf> 

RalciKh. \C 2-6(14 

(')l')l 733 - 267S 



James R. Scarcclla Sr., 

De/'uiy Director 
Molly \Ia.sich, 

Director A P. 4 Services 



ISSl E COM KMS 



FROPOSKI) Rl LKS 
Commerce 

N. C. Milk Commission 455 

Cultural Resources 

i\rchi\cs and Ilistor\- 455 

Human Resources 

ML'dical Assistance 455 

Independent Agencies 

Housing linancc Agency 459 

Licensing Boards 

(PA i-:.\amincrs 458 

NRCD 

rnvironmcntal Management . . .456 

Marine I'isherics 457 

State Personnel 

State Personnel Commission ...461 



H. FINAL RULES 

Correction 

Division of Prisons 472 



Staff: 

Ruby Creech, 

Piihlications Coordinator 
Icresa Kilpatnck, 

luliloriiil .Issistanl 
.lean Shirley, 

lull tar iai A ssistanl 



IIL CUMULAXrV E FSDEX 



.476 



NORTH CAROLINA REGISTER 

Publication Deadlines and Schedules 

(January 1989 - May 1990) 



Issue 


Last Day 


Last Day 


ELarliest 


* 


Date 


for 


for 


Date for 


Earliest 




Filing 


Llectronic 


Public 


Effective 






Filing 


I learing & 
Adoption by 
Agency 


Date 


+++++♦+♦ 


******** 


******** 


******** 


******** 


01/02,89 


12/08,88 


12/15/88 


02/01/89 


05/01/89 


01,16 89 


12/27/88 


01/03/89 


02/15/89 


05/01/89 


02/01/89 


01/10/89 


01/17/89 


03 '03/89 


06/01/89 


02/15/89 


01/26/89 


02/02/89 


03/17/89 


06/01/89 


03,01/89 


02/08/89 


02/15/89 


03/31/89 


07/01/89 


03/15/89 


02/21/89 


03/02/89 


04/14/89 


07/01/89 


04/03 '89 


03/10/89 


03/17/89 


05/03/89 


08/01/89 


04 14 89 


03/23/89 


03/31/89 


05/14/89 


08/01/89 


05/01 '89 


04/10/89 


04/17/89 


05/31/89 


09/01/89 


05/15/89 


04/24/89 


05/01/89 


06/14/89 


09/01/89 


06/01/89 


05/10/89 


05/17/89 


07/01/89 


10/01/89 


06/15 89 


05'24'89 


06/01/89 


07 '15/89 


10/01/89 


07/03 89 


06/ 12 '89 


06/19/89 


08/01/89 


11/01/89 


07, 14/89 


06 '22/ 89 


06/29/89 


08/13/89 


11/01/89 


08,01/89 


07/11/89 


07/18/89 


08,31/89 


12/01/89 


08/15'89 


07/25/89 


08/01/89 


09/14/89 


12/01/89 


09/01 '89 


08/11/89 


08/18,89 


10/01/89 


01/01, '90 


09/15/89 


08 '24/89 


08/31/89 


10/15/89 


01/01/90 


10 02 89 


09/ 1 1 89 


09/18/89 


11/01/89 


02/01 '90 


10/ 16/89 


09 25-89 


10/02/89 


11/15/89 


02/01/90 


11/01/89 


10/11/89 


10/18/89 


12/01,89 


03/01/90 


11/ 15,' 89 


10/24/89 


10/31/89 


12/15/89 


03/01/90 


12/01/89 


11/07/89 


11/15/89 


12/31/89 


04/01/90 


12/15/89 


11/22/89 


12/01/89 


01/14/90 


04/01/90 


01/02/90 


12/07/89 


12/14/89 


02/01/90 


05/01/90 


01/16/90 


12/20,89 


12/29/89 


02/15/90 


05/01/90 


02,01/90 


01/1090 


01/18/90 


03/03/90 


06/01/90 


02/ 15 '90 


01/25/90 


02/01/90 


03/17/90 


06/01/90 


03/01/90 


02/08/90 


02/15/90 


03/31/90 


07/01/90 


03/15/90 


02/22/90 


03/01/90 


04/14/90 


07/01/90 


04/02/90 


03/12/90 


03/19/90 


05/02/90 


08/01/90 


04/16 90 


03/23/90 


03/30,90 


05/16/90 


08/01/90 


05/01/90 


04 09 90 


04/17/90 


05'31/90 


09/01/90 


05/15/90 


04/24/90 


05/01/90 


06/14/90 


09/01/90 



* The "Earliest Effecth'e Date" is computed assuming that the public hearing 
and adoption occur in the calendar month immediately following the "Issue 
Dale", that the agency files the rule with The Administrative Rules Review 
Commission by the 20th of the same calendar month and that ARRC approves 
the rule at the next calendar month meeting. 



PROPOSED RULES 



I n i.i: 4 - 1)1 :i»AR iMKM of ( o.mmkrc e 



lyoticc is hereby given in accordance with G.S. 
I SOB- 1 2 that the North Carolina Milk Commis- 
sion intends to atncnd rule{s) cited <« 4 XCAC 7 
.0504. 

1 he proposed effectix'e date of this action is No- 
vember I. !9S9. 

1 he public hearing will be conducted at 10:00 
a.m. on August 15, I9S9 at Room 6168, Dobbs 
Bldg.. 430 N. Salisbury Street, Raleigh, North 
Carolina. 

C ommenl Procedures: Written comments, data, 
opinions and arguments concerning the proposed 
amendments must be submitted by .August 15, 
1989, to the North Carolina Milk Commission, 
430 N. Salisbury Street. Raleigh, NC 27611, At- 
tention Grady Cooper, .Ir., Exccuti\'e Secretary!. 

CIIAPTP:R 7 - MILK COMMISSION 
SKCTION .0500 - M AKKK I ING REGLLAl IONS 

.0504 CLASSIFICAI ION OF MILK 

(a) Class 1. Class I shall include the product 
uciulit of all fluid milk, fluid milk products, (in- 
cluding products sweetened or fla\ored), all skim 
milk and buttertat which is sold or disposed of 
for consumption or use as processed fluid milk 
products under any trade name (regardless of 
grade), except butlc ' rinilk skim milk and butterfat 
disposed of in bulk to commercial food estab- 
lishments for use on the premises in the pro- 
duction of soup, candy, bakery products or any 
other nondiary food products, milk shake mix, 
hcav)-' cream, medium cream, half and half, one- 
half ounce coffee creamers, eggnog, and any 
other cream items which are classified in a lower 
class and military sales approved for Class lA. 
The following provisions are also applicable to 
Class 1: 

( 1 ) Class I includes, but is not limited to, the 
following rrulk products; pasteurized miUc, 
homogeni/ed milk, lowfat mUk, raw milk, 
whole lactic milk, buttermilk, plain and 
flake buttermilk, (uxcopt buttcnnilk 4«- 
po '. ed t4 fof t44*» puqiO '. L"j dcL i cnbcd » f*} 
^ y+fe Rule), skim milk, fortitied skim 
milk with added solids, chocolate or fla- 
vored milks, or milk drinks, dietary mod- 
ified milk, steiile milk, filled milk (rrulk 
portion only), reconstituted milk, concen- 
trated milk, UHT milk and ultra 
pastcunzed milk. 



Statutory Authority G.S. 106-266.8(3), (7), ( /O). 

TITI E 7 - DEPARTMENT OF CI LTURAL 
RESOURCES 



J\ otice is hereby given in accordance with G.S. 
I SOB- 1 2 that the Cultural Resources! Archives and 
History intends to amend rule(s) cited as 7 
NCAC4Q .0/02. 

1 he proposed effective date of this action is No- 
vember I, 1989. 

1 he public hearing will be conducted at 9:30 
a.m. on August 14, 1989 at Archi\'es and History 
- State Library Building, 109 E. Jones Street, 
Raleigh (Room 305). 

y^omment Procedures: Written comments to 
Dr. William S. Price, Jr., Director, Division of 
Archives and History, 109 E. Jones Street, 
Raleigh 27611 (Room 305) no later than 5:00 
p.m., August II, 1989. 

CIIAPIF.R 4 niMSION OF ARCHI\ES AND 
HISTORY 

SUBCIIAPrER 4Q - STATE CAPITOL/VISITOR 
SFRVICKS SECTION 

SECTION .0100 - GENERAL RULES 

.0102 visrriNG iiolrs 

(a) The State Capitol and the Capital Area 
Visitor Center will be open »» Monday through 
Saturday Friday from 8:00 a.m. to 5:00 p.m., on 
Saturday from 9:00 a.m. to 5:00 p.m., and on 
Sunday from 1:00 p.m. to 5:00 p.m. 

Statutory Authority G.S. 121-4(9); I2l-9(h); 
l43B-62(2)d. 

TITLE 10 - DEPARTMENT OF HUMAN 
RESOURCES 



ly otice is hereby given in accordance with G.S. 
I SOB- 1 2 that the Department of Human Re- 
sources/ Division of .Medical Assistance intends to 
amend rule(s) cited as 10 NCAC 26U .0401. 

1 he proposed effecti\-e date of this action is No- 
vember I, 1989. 

1 he public hearing will be conducted at 1:30 
p.m. on August 14, 1989 at North Carolina Divi- 



NORTH CAROLINA REGISTER 



455 



PROPOSED RULES 



sion of Medical Assistance, 1985 L'mstead Drne, 
Room 201 . Raleigh, \orth Carolina 27603. 

C ommeni Procedures: ll'riuen commenls con- 
cerning this amendment must be submitted by 
August 14. I9H9 to: Director, Di\ision of Medical 
.Assistance, 1985 L'mstead Drrie, Raleigh, N.C. 
2^f>0.^. Oral comments may be presented at the 
hearing. In addition, a fiscal impact statement 
on this rule amendment is available upon written 
request from the same address. 

( IIAPIKR 26 - MEDICAL ASSISTANCE 

SI IK HAPTEK 2611 - RKIMBl RSEMENT PLANS 

SECnON .0400 - PRO\ IDER EEE SCHEDULES 

.0401 PinSICIAN FEESCIIEDLLE 

(e) Notwithstanding any of the foregoing pro- 
visions of this Section the fees for the following 
services shall be paid to all specialties at the levels 
specified below. (The services are identified by 
the identifying codes that are set forth in the 
Physici^ms' Current Procedural Terminology, 
Fourth Edition (CPT-4) 1987 manual, published 
by the .-Vmerican .Medical .Association.) 
Code Fee Code Fee 



Payment based on negotiated fee not to exceed 
reasonable cost. 



5')400 


S625.00 


90220 


$ 70.00 


59410 


350.00 


90225 


40.00 


59500 


5S0.00 


40240 


14.00 


59501 


850.00 


90250 


16.00 


59520 


550.00 


Q0260 


22.00 


5^^521 


800.00 


90270 


28.00 


59540 


600.00 


90280 


40.00 


59541 


850.00 


90282 


15.00 


59560 


600.00 


90292 


20.00 


59561 


850.00 


90300 


30.00 


59580 


600.00 


90315 


40.00 


59581 


850.00 


90320 


50.00 


90000 


20.00 


90340 


20.00 


90010 


22.00 


90350 


20.00 


90015 


30.00 


90360 


25.00 


90017 


40.00 


90370 


30.00 


90020 


45.00 


90600 


25.00 


90030 


9.00 


90605 


25.00 


90040 


14.00 


90610 


50.00 


90050 


17.00 


90620 


60.00 


90060 


21.00 


90630 


60.00 


90070 


26.00 


90640 


18.00 


90080 


35.00 


Q0641 


18.00 


90200 


30.00 


90642 


20.00 


90215 


50.00 


90643 


26.00 


addition 


. fees for all 


specialties 


for ear 


riodic screening, dt'tcction diagnosis anc 



Patient Ag» 

T7TTTTT \.\J I VJtir 



Pee 



Statutory Authority G.S. l08A-25(bj; S.L. 1985, 
c. 479, s. 86. 

TITLE 15 - DEP.ARTMENT OF NATURAL 

RESOURCES AND COMMUNITY 

DEVELOPMENT 

Jyotice is hereby gix'en in accordance with G.S. 
I50B-I2 that the M RCD' Environmental Manage- 
ment Commission intends to amend rulefsj cited 
as 15 SCAC 2B .0216, .0308. 

1 he proposed effective date of this action is 
March I, 1990. 



Th 



he public hearing will be conducted at 7:00 
p.m. on August 29, 1989 at Western Piedmont 
Community College, Auditorium, 1 00 1 Burkemont 
Avenue. Morganton, S.C. 



Co 



omment Procedures: .-ill persons interested in 
this matter are irnited to attend. Comments, 
statements, data, and other information may be 
submitted in writing prior to, during, or within 
thirty (30 ) days after the hearing or may be pre- 
sented orally at the hearing. Oral statements may 
be limited at the discretion of the hearing officer. 
Submittal of written copies of oral statements is 
encouraged. For more information contact Steve 
Zoufaly, Dtv. of Environmental Management, 
P.O. Box 27687, Raleigh, NC 27611 (919) 
733-5083. 

CHAPTER 2 - ENVIRONMENTAL 
MANAGEMENT 

SUBCHAPTER 2B - SURFACE W.\TER 
STANDARDS: MONITORING 

SECTION .0200 - CL.ASSIFICATIONS AND 

WATER QUALITY STANDARDS APPLICABLE 

TO SURFACE WATERS OF NORTH CAROLINA 

.0216 OUTSTANDING RESOURCE WATERS 

(e) Listing of Waters Classified OR\V with 
Specific Actions. Waters classified as ORW with 
specific actions to protect exceptional resource 
values are listed as follows: 

(1) Specific actions to protect the outstanding 
resource values of the listed waterbodies 



456 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



include no new discharges, no How ex- 
pansions of existing discharges, and 
stomiwater controls for all development 
activities requinng a Sediment Lrosion 
Control Plan as follows: 
Low Density Option: Developments 
which limit single family developments to 
one acre lots and other type developments 
to 12 percent built-upon area will be 
deemed to comply with this requirement. 
More stringent requirements may be re- 
quired by the Hn\'ironmental Manage- 
ment C?ommission in very sensitive areas. 
High Density Option: Higher density de- 
velopments will be allowed if stormwater 
control systems (preferably wet detention 
ponds) are installed, operated and main- 
tained which control the runoff from all 
built-upon areas generated from one inch 
of rainfall. The size of the control system 
must take into account the runoff from 
any pervious surfaces draining to the sys- 
tem. More stnngent requirements may 
be required by the Environmental Man- 
agement Commission in very sensitive ar- 
eas. 
(K) I pper Creek [Catawba Riser Basin, 
Index No. 1 1-.^5-2-( 1 )| from source to 
limbered Branch including all tnbutanes 
except liinhered Branch. The undesig- 



nated waterbody ( limbered Branch) and 
its associated tnbutanes shall comply with 
the management strategies in Barauaph 
(e)( 1) of this Rule in order to protect the 
designated waters as ^er J_5 NC.AC 2B 
.0203. 



(L) Steels Creek [Catawba River Basin, In- 
dex No. 1 l--'i5-2-12-( 1)[ from source to 
I ittle I'ork includini; all tnbutarv waters. 



Statutory Authority G.S. 143-2 1 4. 1. 

SECTION .0.100 - assi(;n\iem of stream 

CLASSIFICATIONS 

.0.10X CAI AWBA RIV ER BASIN 

(c) The Catawba River Basin Schedule of 
Classifications and Water Quahty Standards was 
amended effective: 

(1) March 1, 1977; 

(2) August 12, 1979; 

(3) April 1, 1982; 

(4) .lanuaiy 1, 1985; 

(5) August 1, 1985; 

(6) Febmary 1, 1986; 

(7) March 1, 1989; 

(8) May 1, 1989; 

(9) March 1, 1990. 



(i} Ihe Schedule of Classifications and Water 
Quality Standards for the Catawba Ri\er Basin 
was amended effective March j^ 1 990 as follows: 
Q] Ipper Creek [Index No. 1 1-35-2-( 1)[ from 
source to limbered F^ranch including all 
tributaries except limbered Branch (In- 
dex No. 1 1-35-2-9) was reclassified from 
Class C Trout to Class C Trout ORW. 



(21 



Steels Creek [Index No. 1 1-35-2- 12-( 1)[ 
from source to I ittle Fork and all tribu- 



taries was reclassified from Class C Trout 
to Class C Trout ORW. 



Statutory Authority G.S. 143-214.1; 143-215.1; 
l43-2l5.3(a)(l). 



**->!***-k-k-k*-k-k**-kie** 



No 



otice is hereby given in accordance with G.S. 
J SOB- J 2 that the N.C. .Marine Fisheries Commis- 
sion intends to amend ruk(s) cited as 15 NCAC 
3B .0305: 3G .0003. 



1 he proposed effective date of this action is No- 
vember I, 1989. 

I he public hearing will be conducted at 3:00 
p.m. on August 14, 1989 at Duke University .Ma- 
rine Lab. Auditorium, Beaufort, NC, Business 
Session will be August 15, 1989, at 9:00 a.m. at 
the Duke Un'rversity Marine Lab. Auditorium, 
Beaufort, N.C. 



Co 



omment Procedures: Comments and state- 
ments, both written and oral, may be presented at 
the hearings. Written comments are encouraged 
and may be submitted to the Marine Fisheries 
Commission, P.O. Box 769, Morehead City, NC 
28557. These written and oral comments must 
be received no later than August 14, 1989. 

CHAPTER 3 - MARINE FISHERIES 

SLBCHAPTER 3B - FISHERIES REGULATIONS 
FOR COASTAL WATERS 

SECTION .0300 - NET REGULATIONS: 
GENERAL 

.0305 TRAWL NETS 

It is unlawful to use trawl nets: 

(1) For the taking of fmfish in internal waters, 
provided that it shall be permissible to take 
or possess finfish incidental to crab or 
shrimp trawling in accordance with the fol- 
lowing limitations: 



NORTH CAROLINA REGISTER 



457 



PROPOSED RULES 



(a) It is unlawful to possess aboard a vessel 
\\ hilc using a trawl in internal waters more 
than 1,000 pounds of fmfish except 
flounder of legal size may be taken and 
possessed without limit in quantity in in- 
ternal waters while engaged in crab trawl- 
ing. 

(b) Mminuim mesh sizes for shrimp and crab 
trawls are presented in 15 NCAC 3B 
.0701 and .0801. 

(c) The Fisheries Director may, by proclama- 
tion, close any area to trawlmg for specific 
time penods in order to secure compliance 
of this Rule. 

(2) F'or the taking of oysters; 

(3) In Albemarle Sound and its tributaries; 

(4) In that area of Shackleford Banks as de- 
scribed in 15 NCAC 3G .0003 (»h Llii 

(5) In that area of Pamlico Sound as described 
in 15 NCAC 3B .0003(2). 

Sunuiory Author ity G.S. 113-134; 113-182: 
113-221: I43R-289.4. 

SL BCII.APTKR 3G - DESCRIPTIVE 
BOLNDARIES 

.0003 TR.WVLNETS PROHIBITED 

It is unlawful to use trawl nets: 

( 1) In that area south of Shackleford Banks 
which is east of a line which begins at the 
navigation aid (buoy or beacon) at the 
westward end of the Cape Lookout west- 
ernmost jetty and ruiming thence N 06° 45" 
E degrees (M) to the Markers' Island water 
tower; The excluded area includes all of 
Cape Lookout Bight, that area west of the 
Biglit but east of the line above that portion 
of Bardens Inlet which lies southwestward 
of a Ime u hich begins at the Cape Lookout 
Liglithouse and runs N 28° 15' W degrees 
(M) to the southern end of Shackleford 
Banks. 

(2) In I'amlico Scnind, beginning at a point 35° 
or 13' N - 76= 18 41" \V at Marker "2" at 
Cedar Island l-'enA lerminal; thence on a 
bearing of 0*^6" (M) 6 nautical miles to a 
point 3£Or3£Nl2£IL2iIWaF 
I lodges Reef I ight (III ); thence on a bear- 
ing of 20*^^)' (M) 2.3 nautic:d miles to a point 
3£5g'2rN:ZfLiillZWat Marker 
"5" at W'ainw right Island; thence on a bear- 



Stalutury Authority G.S. 113-134; 113-182; 
I43B-289.4. 

TITLE 21 - OCCUPATIONAL LICENSPsG 
BOARDS 

lyotice is hereby given in accordance with G.S. 
I SOB- 1 2 that the N.C. State Board of Certified 
Public Accountant Examiners intends to amend 
rule(s) cited as 21 NCAC SA .0301, .0307. 

J he proposed effective date of this action is No- 
vember J, J 989. 

1 he public hearing will be conducted at 10:00 
a.m. on August 21, 1989 at N.C. State Board of 
CPA Examiners. IIOI Oberlin Road, Ste. 104, 
Raleigh, NC 27605. 



Co 



inc of 2^ (All In i poml 34^ 59' 49" N - 
76'' 1£ il_ K iJi "^ 'UTiP Point: thence 
westwardlv along the shore of Cedar Island 
to the point of beginning at the Ferrs I'er- 
minal. 



-omment Procedures: Any person interested in 
these rules may present oral comments relevant to 
the action proposed at the public rule-making 
hearing or deliver written comments to the Board 
office not later than 10:00 a.m. on Monday, Au- 
gust 21 , 1989. .Anyone planning to attend the 
hearing should notify the Board office {Ann H in- 
kle) by noon on Monday, August 14, 1989, 
whether they wish to speak on the proposal and 
whether they will speak in favor of the proposal 
or against it. Anyone speaking on the proposal 
will be limited to 10 minutes. 

CH.4PTER 8 - BOARD OF CERTIFIED PLBLIC 
ACCOUNTANT EXAMINERS 

SLBCHAPTER 8A - DEPARTMENTAL RULES 

SECTION .0300 - DEFINITIONS 

.0301 DEFINITIONS 

(b) In addition to the definitions set out in G.S. 
93- 1(a), the following definitions and other defi- 
nitions in this Section apply when these terms are 
used in 21 NCAC 8: 

(13) "Inactive," when used to refer to the 
status of a person, describes a person who 
has voluntarily surrendered a certificate of 
qualification under 21 NCAC 8J .0006 or 
who is » North CaroUna cortificato holdor 
with logal rouiduncij outsid e tiw otato »f 

X. j~i .-* l-» ( '' •\-w-i-^\\t-t -1 i-tf-i . 1 1 1 -li j-1 A i-^ 11,^ v\i\i rt r *"!<"' ti^'d^ 

^^r^TTTTT TTTrrTTTTTTrr UI l\j TTTTTT OTj^TTT rTTTT rTTTlTTTT^T^? 

acGountancy within Ae fitat e ef North 
Carolina; not recci\'ing any compensation 
for current personal services in the field 
of accountancy. "Inactive" also dcscnbes 
a person who is not receiving anv com- 
pensation for current personal services in 



458 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



the ficKl (v[ accountancy pcrfonncd in or 
lor pcrs(Mis, corporations or other entities 
in North Carc^lina and who docs not use 
iri this state the title "certified public ac- 
countant" or other words, letters, abbre- 
viations, symbols or other means of 
identification to indicate that the person 
usini; same has been admitted to practice 
as a Cl'A; 



Statuloty Auihority G.S. 93-1. 



(b) Scr\ices may be performed on a full-time, 
part-time or temporary' basis in the various ac- 
counting fields, including, but not limited to, 
public accounting, governmental or other not- 
for-profit accounting, industrial, commercial or 
financial accounting, taxation and tax-related 
matters or accounting education. 

Statutory Authority G.S. 93-/; 93-/2. 

TITLE 24 - INDEPENDENT AGENCIES 



.0307 I'l BI.IC PRACTICE OF ACCOLNT.WCY 
OR ACCOLNTING 

"Practic e of accountancy »f accountin i j" i* Ae 
performance' Hf olf e rinij t+> pcrlonn fo* rcmuncr 

Vh**- i»» H«+ limited kH 
f+i preparation, auditing Bf v e rification e4' fi- 

nanciiil tranL . uctionii, booko, accounto »f Fe- 

cord '. ; t*f 
{-2^ preparation, ' . erification &f certification »f 

financial, accountinij i*«4 related i . tatementii, 

including tfet» preparation »4 ^*Ht retumo; »f 
f^ rendenng prol'efi j jionul consulting »f man 

agemenl adv I '. or ! ' jersice ' j t+F ai . i . ijtanco m 

Bf about rtfHr ttft4 rtU matter '. »+ pnnciple b* 

detail r e lating k+ accounting proc <; dur e ttft4 

f . yf . tem - : . ct«4 h** matten . ; »f 
f-H recording, pr e s e ntation Bf c e ilificatioii ctft4 

Ute intei pretiition t+f liuch i . enice througli 

ijtutement! . a«4 r e port *. . 
(a) A person in engaged in "public practice of 
accountancy" who: 

( 1) holds himself out to the public as a certi- 
fied public accountant or an accountant; 
and 

(2) in consideration of compensation received 
or to be received^ 

(3) offers to perfonn or does perform for other 
persons: 

(4) services which in\olve: 

(A) prepanng, auditing or verifying financial 
transactions. bo(^ks. accounts, or records. 



or 

(B) prepanng, verifsing or certify ing finan- 
cial, accounting and related statements 
intended for publication, including pre- 
paring tax returns, or 

((,) rendenng pro fessional services or as- 



J\ otice is hereby given in accordance with G.S. 
/50B-/2 that the North Carolina Housing Finance 
Agency intends to amend rule(s) cited as 24 
j\CAC /D .050/ - .0503; IH .050/ - .0503. 

1 he proposed effective dale of this action is De- 
cember I. I9S9. 

1 he public hearing will be conducted at /O.OO 
a.m. on August /4, /989 at North Carolina 
Housing. Finance Agency, 3300 Drake Circle, 
Suite 200, Raleigh, N.C. 27607. 

C_ omment Procedures: Written comments must 
be submitted to the A PA Coordinator by the date 
of the public hearing. Oral comments may be 
presented at the hearing. 



CHAPTER 1 



N.C. HOUSING FINANCE 
AGENCY 



SUBCHAPTER M) - SINGUE FAMILY 
MORTGAGE PURCHASE PROGRAM 

SECTION .0500 - HOMEOWAERSHIP 
ASSISTANCE FUND AND PROGRAM 

.0501 CREATION OF FUND 

The agency hereby establishes the Homeown- 
crship Assistance Fund, hereinafter referred to as 
the "fund", for the purpose of assisting persons 
of lower or moderate income in the purchase of 
affordable housing hf reducing tbe otTectiv e eest' 
t»f homeowner i. hip te- huch poroons. and to pro- 
vide mortgage assistance to eligible households 
through organizations that aid in the production 
of affordable housing. 



sistance in or about any and all matters Statutory Authority G.S. I22A-5.7. 



of principle or detail relating to account- 
ing procedure and systems, or 
(D) recording, presenting or certifying and 
interiTeling such service (including tax, 
consulting or management advisory ser- 
vices) through statements and reports. 



.0502 ELIGIBIIITY 

(a) The fund will be available to assist persons 
(4 lower afni modorato incomes, income eligible 
households as defined in Rules .0103 aft4 .011)3 
Rule .0102 of this Subchapter, yvho would be 



NORTH CAROLINA REGISTER 



459 



PROPOSED RULES 



otliLTwi ji L * unable to receive subsidbxd loans from 
the agency. 

(h) The fund may also provide mortgage as- 
sistance t£ eliijihle households through organiza- 
tions that aid in the production of housing that 
is at'l\>rdahle to income eligible households as 
descnbed m Paragraph (a) of this Rule. This al- 
tematne pcmiits participating organizations to 
pro\ ide mortgage loans to eligible households 
using the pnu'ceds of the fund received from the 
agency. 



(c) fl*^ The agency may, from time to time, de- 
signate specific counties within the state to re- 
cei\e portions of the proceeds from the fund for 
the purpose of assisting eligible popjons. house- 
holds. 

Statutory Authority G.S. I22A-5.7. 

.050.^ M NO OPF.R.VTION AND 
ADMIMSIRATION 

(a) The agency will establish a separate Hom- 
eownership Assistance Fund consisting of ap- 
propriations, ©f agency revenues du '. ignatod as 
tl+e cor^TUL i ef or other funds allocated to the 
fund. 

(h) The agenc\- uill not expend any of the state 
appropriated coq-)US of the fund but wiU invest 
the stale appropriated corpus of the fund and will 
pnn KJe mortgage assistance make homeov i uor 
44+f* a '.'. i 'i lancc Knin ;. from the proceeds of the 
in\'ested coipus. .\nv other amounts allocated 
to the fund ma\ be fuUv expended, both corpus 
and interest, or mav be withdrawn from the fund 
b\ the agencN for other eligible acti\'ities. 

(c) Ihe agency will select wi tte di i. crc'tion ap- 
plicants fof ftfvt- mortgugo loans under tiw agon 
ey-^ 'l ingle family program for participation in the 
I lonieow nership Assistance Program. Eligible 
boiTOWLM '. . jft addition te- rcK'eiving a fifst- mort 
gagL * loan funded from proceodo trf ;*» agency 
bond iuouo, participants will receive a socond 
mortgage loan from the agency or a participating 
organi/.atK^n from the proceeds of the fund. As 
determined by the agency, this additional loan 
may be used to provide additional security for 
ehgible loans, to subsidize down payments and 
monthly housing payments (including first mort- 
gage principal and interest, mortgage insurance, 
homeowner's insurance and taxes), and to pro- 
\ide an\ other type of mortgage assistance to 
participants that the agency deems necessary^ 
The amount of this iidditional loan will be de- 
tcnnined by the agency, in its discretion, consid- 
ering such factors as the income of the 
households to be ser\ed. family s«*fT income. 



»h4 abilil' t H+ tl-kt* boiTovser t** pay. 44w agency 
Vr+Ur m rt^ di '. cretion. either include (+h» hom 



oo' i vncrohip aooiotunco leaf* from $4+& fund a* part 

^^r 1 1 1^ 111 .11 11 i\j\ I E-,u ELjV/ U'w^-^J tTX tmTTT 1 1 lUUU TTT iTTW 

agency under it« oingje family program, »*7 ift t4*» 
altomati' i 'o, include t+w* homeownorohip assist 
anoo loan ift a socond mortgago deed ef trust. 
44«» loan from the fund, including tntwroat thor 
ee» at- a Fate ostublishod hf the ag e ncy, shall be 
d»e a«4 payable by tb» borrower e ither upon the 
re ' ^wilo ef the home which is the subjoct ef the 

1 n • I n A^ 1 1 n f^ n xX^a rtn'it tl a* thi^ hnrrr"' "'- '^" '^ .. 1^ - ■ 1 1 

be r e oos' e rabk ' »»4y from the appreciation ef the 
market pric ^ j »f the financ e d homo during the 
timo it- is owned by the borrower. 

(d) The agency shall promulgate such forms, 
contracts, and other documents including but not 
limited to: deeds of trust, promissory notes, 
mortgage purchase agreements, and loan agree- 
ments as may be necessary to operate the Hom- 
eownership Assistance Program fmanced from 
proceeds of the fund. 

Statutory Authority G.S. I22A-5.7. 

SLBCHAPTFR IH \U LTIFAMILY 
SL BSIDI/KD REM AL PROGRAM 

SECTION .0500 - MLLTIFAMILY RENTAL 
ASSIST.ANCE FUND AND PROGRAM 

.0501 CRE.\riON OF Fl ND 

The agency hereby establishes the Multifamily 
Rental Subsidy Assistance Fund for the purpose 
of assisting persons and families of lower or 
moderate income who cannot otherwise afford 
to reside in the agency's decent, safe and sanitary 
multifamily rental units by subsidizing the etTec- 
tive monthly rent to such persons and families 
and to assist nonprofit organizations producing 
affordable rental housing. 

Statuton' Authority G.S. l22A-5(2); l22A-5(3); 
I22A-5.'/; S.L. 1983, c. 971. s. 133. 

.0502 ELIGIBIEITY 

(a) The Multifamily Rental Subsidy Assistance 
Fund, hereinafter referred to as the Fund, will be 
available to provide rent subsidies to income eli- 
gible households as defined in Rules .1)102 and 
.0103 of this Subchapter, assist p e rsons *fi4 fe- 
milios ©4 lower e* moderate incom e desiring t©- 
reside » agency fmanced rental proj e cts te- be 
constructed ift counties ha' i ing cities »f towns 
with a population ef less than fifty thousand. 
i4*e eligible counties >A4h be assigned t© d e sig 
nated multi county, geographic areas ef the stato; 
these areas Vrtil be defined m- the agency's Notifi 
cation ©4 Funds Availability »ft4 .Multifamily 
Developer's Pack e t. 



460 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(h) I'hi i. I' Uiid wtU providi ' Fefrt- r i uhi i iiJiL'^ t«f aU 
unit '. j» projL ' Ltr i •■ el e ctt ' iJ h+ ucccirduncL' witli ttw 
Nulificulion i-4 I uiiJ '. j\suilubility. 4+k* incomes 

V TT TTT^ 1 ^ t .^^11.' HI ITJ I U. I I 1 1 1 tt >' I V, .'I VI 1 1 IE. ITT tT^T^W ^^^^^TCT 

unitb 'i hiiU fH44- L'XOL ' L'J thor . L ' incomo limits L'otab 
li 'i liL'J hf tbt^ aiioiicy uinJcr rt*i Multitamily 4rft- 
r . ulv . idi/i. -' d R t? ntcil Program, w? outliiiL ' d m the 
Muitiliimily Dl ' soIoplt n Puckot. [he fund may 
also he used to pro\ide assistance to nonprofit 
oreani/ations producing; rental housina throudi 
the aeencN s (atalvst Proirram, as descnbed m 
Subchapter IK. Section .1)6(1(1. 

(c) The aticncv ma\ . from time to time, desig- 
nate specific ciiunties uithin the state to receive 
portions of the proceeds of the fund for the pur- 
pose of assislinij eligihle households. 

Statuton' Authoriiv G.S. l22A-5(2l: l22A-5(3); 
I22A-5.'I: S.L. IQS3, c. 971, s. 133. 



equal fifty percent of the amount of rent increase. 
The subsidy pa\ments will continue in effect un- 
til such time that the bonds for the project have 
been retired, or the subsidy payments have been 
reduced to zero dollars ($0.00) in accordance 
with the reduction schedule described in this 
Rule. 

(e) (4i The agency shall promulgate such forms, 
contracts, and other documents as it may deem 
necessary to operate the Multifamily Rental 
Subsidy Program financed from proceeds of the 
Fund. 

(f) Program funds pro\ided to nonprofit or- 
ganizations through the agency's Catalyst Pto- 
gram must meet the requirements in Subchapter 
IK. Rules .0603, .0604 and .0605. 

Statutory Authority G.S. l22A-5(2); l22A-5(3); 
I22A-5.I: S.L. 1983, c. 971, s. 133. 



.050.1 I IM) OI'KRAHON .\nd 
ADMIMSlR.VnON 

(a) The agency will establish a separate Multi- 
family Rental Sub i. idy Assistance Fund consist- 
ing of appropnations or agency revenues 
designated as the corpus of the Fund. 

(b) The agency will not expend any of the state 
appropnated corpus of the j-und but will in\est 
the state apprcipriated corpus of the Fund and 
will make i . ubi . idy puymont ^ i fof a4+ unit ^i h* cuch 
project assistance a\ ailable trom the proceeds ot 
the iiuested corpus. .\ny other amounts allo- 
cated to the fund may be fulK' expended, both 
corpus and interest, or may be withdrawn by the 
agency for other eligible acti\ ities. 

(c) The agencN will select for financing aft4 
award t+w i . ub '. idy te t4+t» projcctfi . ) rucei' i ing the 
highc ' jt point csaluatiun m e ach multi county, 
geographic area. -I4te application procedure -i aft4 
th«» evuluution procedure ! ) Vr4tt U*» outlined w- tkn* 
■Multifamily Developer l i I 'acket. funding appli- 
cations that meet the criteria established by the 
agency and descnbed in program application 
matenals. 

(d) lor prtijects selected for rental subsidies, a 
subsidy of up to one hundred dollars (SKJO.OO) 
per month per rental unit ijhall may be granted 
by the agency, te each selected project. The 
subsidy shall commence upon the actual occu- 
pancy of each unit by the tenant, and shall be 
paid by the agency to the project until mortgage 
purchase and amortization begin. Subsidy pay- 
ments during permanent financing slwtt may be 
made by the agency directly to the bond trustee 
on behalf of the mortgagor or directly to the 
mortgagor. 1 he subsidy on any unit shall be re- 
duced each time the rent for that unit is in- 
creased. The amount of subsidy reduction shall 



TITLE 25 - OFFICE OF STATE 
PERSONNEL 

lyotice is hereby given in accordance with G.S. 
I SOB- 1 2 that the Office of State Personnel! State 
Personnel Commission intends to amend rule(s) 
cited as 25 NCAC ID .0102 - .0/03, .0210. .0303, 
.0605, .0705, .OSOl, .0901. .0906, .0908; IH .0602, 
.0623; 1.1 .0606; repeal rule(s) cited as 25 S'CAC 
ID .0108, .0202 - .0204, .0302, .0304, .0402, 
.0404, .0601 - .0603. .0606, .0702, .0704, .0802 - 
.0803, .0806, .0904 - .0905; IK .0603 - .0611; and 
adopt rule(s) cited as 25 \CAC ID .0211 - .0213, 
.0308, .0406, .0518 - .0519, .0608 - .0610, .0706 - 
.0710, .0808, .0910 - .0911, .2201 - .2203; IE 
.1007 - .1008. 

J he proposed effective date of this action is No- 
vember I, 1989. 

J he public hearing will be conducted at 9:00 
a.m. on August 15, 1989 at Personnel Develop- 
ment Center, 101 W. Peace Street, Raleigh, North 
Carolina 2761 1 . 

(^ omment Procedures: Interested persons may 
present statements orally or in writing at the 
hearing or in writing prior to the hearing by mail 
addressed to: Drake Maynard, Office of State 
Personnel, 1 16 W. Jones Street, Raleigh, North 
Carolina 27603. 

CHAPTER I - OFFICE OF STATE PERSONNEL 
SUBCHAPTER ID - COMPENSATION 



NORTH CAROLINA REGISTER 



461 



PROPOSED RULES 



SFXriON .0100 - AOMIMSl RATION OF THE 
PA\ I'LAN 

.0102 SAI AKY RANGES 

(a) I'ach classified position is assigned to a sal- 
on' range that provides, based on similar em- 
ployment in the defined labor market: 
minimum, intermediate, and maximum salary 
rates that are competitive with rates in the ex- 
ternal labor market consistent with the state's 
ability to pay; and proper relationships within 
state government employment to maintain inter- 
nal equity. 

fb) Based on labor market demands, salary 
rates for some classitications may be approved 
above the standard rates. When a hiaher salary 
range (le.. both the minimums and maximums 
are raised) is needed to recruit empUnees to cer- 
tain areas of the stale, the hiaher ranL!e(s) will be 
known as aeoa-aphic dilTerentials. WTien only 
the entr\ rates (and not the maximums) need to 
be hidier. the hiizher rates will be known as spe- 



cial entry" rates. .Special entry rates may be ap- 
pro\ed on a ueoijaphic basis also. 

(CI When iieographic ditTerentials are in effect , 
all s.ilaPv administration policies are applied as if 
the clasNitication were at the hiizher grade. I'ro- 
\iMons tor appKint; special entry rates are in- 
cludci-i in each policy. 

Statutory Authority G.S. 126-4. 

.0103 STATE SALARY SCHEDLLE 

Annual salary ranges showing at least the mini- 
mum and ma.ximum aft4 intLTmodiutc 'A t ip ' i pay 
rates for each job classification subject to the 
State Personnel Act are tiled in the Office of State 
Personnel and in the personnel office of each 
state department and institution. Information 
on current salaries may be obtained at these lo- 
cations. The salary schedule is adopted by ref- 
erence October 1, 1984. 

Statutory Authority G.S. 126-4(2): I SOB- 14. 

.0108 A\ AILABILITY OK FUNDS (REPEALED) 

Statutory .Authority G.S. 126-4. 

SECTION .0200 - NEW APPOINTMENTS 

.0202 MIRING RATE (REPEALED) 
.020.^ JLSIIFICATION (REPEALED) 
.0204 TEMPORAR> OR PART-TIME 
EMPLO^EES (REPEALED) 

Statutory Authority G.S. 126-4. 

.0210 TRAINEE SALARY ADJUSTMENTS 



During a trainee appointment an evaluation of 
the indniduals performance and progress on the 
job is to be made at frequent intervals. As a 
general guide, salary increases are provided at 
specified mtervals. These mcreascs are not au- 
tomatic, and are not necessarily limited to the full 
elapse of specified intervals. Salary adjustments 
may be either advanced or delayed depending 
up>on the progress of the employee. In cases 
where salary adjustments have been advanced, 
normally the trainee's salary will not be adjusted 
to the permanent rate step e«# of the range for 
the regular classification until the employee meets 
all education and experience requirements for the 
appointment; the salary can be moved to the re- 
gular class rate only when job performance dem- 
onstrates achie\ement of duties, knowledges, and 
skills at the level of the class, as verified by indi- 
vidual job audit. .Adjustments are to be given 
upon recommendation by the appointing au- 
thority and the supervisor that the employee has 
earned an mcrease. 

Statutory Authority G.S. 126-4. 

.0211 SALARY RATE 

(a) The mmimum rate of pay for a class, or 
trainee rate where applicable, shall normally be 
paid a qualified new employee. When a special 
entry rate has been authorized, that rate may be 
paid a qualified new employee if the agency has 
made a decision to use the new rate. 

(b) It is intended that agencies make as few 
appointments above the minimum rate (or ap- 
phcable special entry rate) as possible. Rates 
above this may be requested when: 

( 1 ) extensive recruitment efforts have not 
produced qualified apphcants; and 

(2) the applicant possesses exceptional quali- 
fications above the minimum require- 
ments of the class specification, and 
operational needs exist which justify fdling 
the position at the salary above the mini- 
mum of the range. The additional expe- 
rience and training must be in the same 
or closely related area to that stated as 
acceptable in the class specification. 
Generally, up to five percent may be con- 
sidered for each qualifying year of experi- 
ence above the minimum requirements. 

(c) Appointments above the minimum rate are 
to be a\oidcd if salary inequities would be cre- 
ated. This should be considered ver>' carefully in 
order to avoid present or future inequities. One 
consideration must be the policy which would 
apply if a current employee were promoted to a 
vacancy. A serious inequity can occur if a new 
employee is paid at a rate higher than that which 



462 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



would be paid if a current employee were pro- 
moted to the same position. 

(d) When an employee is given permanent 
status after successful completion of either the 
probationary period or the trainee period, the 
employee's salary shall be increased to the per- 
manent rate of the range (unless appointment 
was made at or above this level). The effective 
date for change to pemianent status must be the 
first day of a pay period. If the employee is in 
pay status for at least one-half of the workdays 
and holidays in the pay period, credit will be 
gi\cn for the full pay period. 

(c) If the employee is liired initially at an au- 
thorized special entry rate, the employee's salary 
may be increased by fi\e percent above the spe- 
cial entry rate upon successful completion of the 
probationary' period. 

(f) If the employee is hired at a salary below 
an authorized special entry rate because the lower 
salary is sufficient to attract applicants but not 
sutTicient to retain the employee once experience 
is gained, an adjustment up to the special entry 
rate may be made during or at the end of the 
probationary period or at such time as perform- 
ance indicates that it is justified. 

Slatulof-y Authority G.S. 126-4. 

.0212 .11 Sill KAl ION 

(a) Forms I'D- 105 requesting appointments at 
rates above the minimum rate must include a 
statement of reasons and justification for such 
rates. 

(b) If conditions justify appointment above the 
minimum rate, the agency may elect to use the 
minimum rate for initial appointment with the 
option to increase the salary to a rate above the 
minimum upon successful completion of the 
probationary period. 

Statutory Authority G.S. 126-4. 

.02 1.? TEMPORARY AND PART-TIME 
EMPLOYEES 

(a) The minimum rate shall normally be paid 
temporary employees. However, a lower rate 
may be set if reasons are acceptable to the Ofiice 
of State Personnel. Temporary employees shall 
be paid hourly rates. 

(b) limployees with permanent part-time ap- 
pointments shall be paid a proportionate annual 
rate. 

Statutory Authority G.S. 126-4. 

SECnON .O.WO - PROMOTION 

.0302 SALARY RA IE (REPEALED) 



Statutory Authority G.S. J 26-4. 

.0303 EFFECTIVE DATE 

(a) Permanent promotions shall be made ef- 
fective on the first day of the pay period. Such 
requests cannot be made effective earlier than the 
first day of the following month when received 
after the tenth of the month. 

(b) Promotional increases to the permanent 
rate (or minimum, if applicable) shall he given 
on the effective date of the promotion. 

(c) Increases above the permanent rate, if re- 
commended, should be given on the effective 
date of the promotion. If funds are not available 



for the desired amount, additional increases, 
to the full allowable amount, i 



U£ 



y_ be given at 

later dates on a current basis. If the agency uses 
this option, a notation must be entered on the 
form indicating the amount of the allowable in- 
crease, the amount given, and the balance that 
may be given later. The personnel actions sub- 
mitted later must reference the original pro- 
motion. 

(d) Temporary promotions may be made ef- 
fective on the date than an employee is officially 
placed in an "acting" capacity. 

Statutory Authority G.S. 126-4. 

.0304 PERFORMANCE 1NCRE.\SE 

ANNIVERSARY DATE (REPEALED) 

Statutory Authority G.S. 126-4. 

.0308 SALARY INCREASES 

The purpose of a promotional pay increase is 
to reward the employee for the assumption of 
duties more responsible and more difficult than 
those in the current position. Subject to the 
availability of funds, salary increases, not to ex- 
ceed the maximum of the range, may be given in 
accordance with the following: 
(1) Permanent Promotion: 
(a) The salary shall be increased to the per- 
manent rate of the grade to which pro- 
moted or by five percent whichever is 
larger. Exceptions: 
(i) When internal salary equity or budget 
considerations in the receiving work unit 
or agency are necessary , and a specific sa- 
lary rate or limitation is published in ad- 
vance of a promotional ofler; 
(ii) When an employee is demoted with no 
change in salary and subsequently pro- 
moted back to the same level, the salary 
shall remain unchanged and treated as if 
the demotion had not occurred; 



NORTH CAROLINA REGISTER 



463 



PROPOSED RULES 



(iii) If the employee's salary is above the 
maximum as a result of a reallocation 
down, no increase can be given but the 
salar>' may remain above the maximum. 

(b) The salary may be increased by more than 
five percent, the total not to exceed the 
five percent for each salary grade provided 
by the promotion. The nature and mag- 
nitude of the change in jobs, the need to 
maintain equity of salaries within the 
work unit, and other management needs 
must be given consideration when making 
such requests. 

(c) If a probationary employee is promoted 
and the salary is at the minimum rate, the 
salar> must be increased to the minimum 
rate of the grade to which promoted until 
the employee is eligible for permanent 
appointment. 

(d) If the employee is to receive a performance 
salary increase on the same date as the 
promotion, the increase may be given be- 
fore the promotional mcrease. 

(e) Only in extreme, well-documented cir- 
cumstances will salary increases be con- 
sidered which equate to more than five 
percent for each grade prosided by the 
promotion. Personnel forms must in- 
clude the justification. 

(f) If an employee is promoted from a class 
for which there is no special entry rate 
into a class which has a special entry rate, 
the employee's salary may be increased 
by the amount of the promotional in- 
crease plus the percent difference between 
the minimum and the special entry rate 
authorization. 

(2) Temporary Promotion: 
(a) Temporary promotions may be made 
when an employee is placed in an 
"acting" capacity for a period of time. 
When an employee is placed in an 
''acting" capacity, at the discretion of 
management, one of the following may 
occur: 

(i) The emploN'ce may be placed in the 
higher le\el position (if \acant) with an 
understanding that he will return to the 
former position and salary when the posi- 
tion is tilled. 

(ii) A salary adjustment may be given in the 
present position with the understanding 
that the salary will be decreased when the 
"acting" capacity terminates. Indicate in 
Section 21 of the PD-105 the position 
number and classification for which the 
employee is serving in an "acting" capac- 



ity. Also include expected duration of 
"acting" capacity. 

(b) TTie provisions for salary increases for 
permanent promotions apply in either 
case, except that the provision for a man- 
datory increase may not be applicable. 

(c) The length of time that an employee is in 
an acting capacity should be limited, and 
the amount of promotional salary increase 
determined by the degree of assumption 
of the higher level duties. 

Statutory Authority G.S. 126-4. 

SECTION .0400 - DEMOTION 

.0402 SALARY RATE (REPEALED) 

Statutory Authority G.S. 126-4. 

.0404 PFRFOR\L\NCE I\CRE.\SE 

ANM\ ERSARY DATE (REPEALED) 

Statutory Authority G.S. 126-4. 

.0406 SALARY RATE 

(a) WTien the employee's current salary fails 
within the range of the lower class, it may remain 
the same or be reduced to any salary in the lower 
range. Exception: When an employee is pro- 
moted and subsequently demoted or reassigned 
to any lower class within one year, the salary 
shall revert to the salary being paid before the 
promotion plus any increases that would have 
been given had that promotion not occurred. 

(b) When the employee's current salary is 
above the maximum of the range for the lower 
class, the salary shall be reduced at least to the 
maximum of the lower range. 

Statutory Authority G.S. 126-4. 

SECTION .0500 - SEPARATION 

.0518 YOLLNTARY RESIGNATION WITHOUT 
NOTICE 

An employee \'oluntarily terminates employ- 
ment with the state by failing to come to work 
without giving written or verbal notice to the 
employing agency. Such a failure shall be 
deemed to be a voluntary resignation from em- 
ployment without notice when the employee is 
absent without approved leave for a period of at 
least three consecutive, scheduled work days. 
Separation pursuant to this Rule should not oc- 
cur until the employing agency has undertaken 
reasonable efforts to locate the employee and 
determine when or if the employee is intending 
to return to work. This provision also applies 



464 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



when the employee is absent for at least three 
C()nsecuti\e, seheduled work days and does not 
report in to the appropriate supervisor)' person- 
nel on a regular basis satisfactory to the employ- 
ing agency. Such a separation is a voluntary 
separation from state employment and creates no 
right of grievance or appeal pursuant to the State 
Personnel Act (G.S. Chapter 126). 

Stalulory Authority G.S. l26-4(7a). 

.0519 I NWAII .MJII.ITY 

.■\n employee may be separated on the basis of 
una\ailability when the employee becomes or 
remains unavailable for work after all applicable 
leave credits and benefits have been exhausted 
and agency management does not grant a leave 
without pay for reasons deemed sutTicient by the 
agency. Such reasons include, but are not limited 
to, lack of suitable temporary assistance, cntical- 
ity of the position, budgetary constraints, etc. 
Such a separation is an involuntary separation, 
although it is not a dismissal, and may be grie\ed 
or appealed. The employing agency shall, prior 
to separation, meet with the employee and in- 
fonn the employee of the proposed separation, 
the efforts undertaken to a\oid separation and 
w hy the efforts were unsuccessful. The employee 
shall have the opportunity in this meeting to 
propose alternative methods of accommodation. 
The employing agency must also give the em- 
ployee a letter of separation stating the specific 
reasons for the separation and setting forth the 
employee's nght of appeal. The burden of proof 
on the agency in the event of a grievance is not 
just cause as that term exists in G.S. 126-35, but 
is rather to prove that the employee was una- 
vailable, that the agency made reasonable efforts 
to accommodate the employee's unavailability 
and that such efforts were without success. 
Agencies should make efforts to place an em- 
ployee so separated pursuant to this Rule when 
the emplo) ee becomes available, if the employee 
desires, consistent with other employment prior- 
ities and rights. 

Statutory Authority G.S. l26-4{7a): 126-35. 

SKC HON .0600 - RFAl. LOCATION 

.0601 KKAIIOCAIION DKKINKl) (RKPKALED) 
.0602 ASSK.NMKA T TO III(;ilER GRADE 

(REPEALED) 
.0603 ASSIGNMENT TO A LOWER GRADE 

(REPEAI ED) 

Stdtutoiy Authority G.S. 126-4. 



.0605 EFFECTIVE DATE 

(a) Reallocation shall be made effective on the 
first day of the pay period. F-orms I'D- 118 
should be submitted to the Office of State Per- 
sonnel 30 days pnor to the proposed effective 
date to allow adequate time for study and proc- 
essing of the requests. Requests received after 
the first day of the month are subject to be made 
effective no earlier than the first of the follow ing 
month and requests can be effective only after 
complete information is available to make a de- 
cision. If any party is delayed in carrying out its 
responsibilities, the employee should not be 
caused to suffer delay and the effective date will 
be revised to the most reasonable daiC consistent 
with the time that complete information would 
have been available to make the decision on re- 
allocation of the position. 

(b) Salary' adjustments to the permanent rate 
(or minimum, if applicable) shall be given on the 
effective date of the reallocation. Jf funds are not 
available, the increase shall be !ii\en from the first 



ilabli 



;alar\ reserve funds and made retroac- 



tive to the effective date of the reallocation. 

(c) Salary adjustments within the range are 
optional and, if recommended, should be given 
on the etTecti\e date of the reallocation. If funds 
are not available for the desired amount, the in- 
crease (or additional increases, up to the full al- 
lowable amount) may be given at a later date(s) 
on a cuiTcnt basis. If the agency uses this option, 
a notation must be entered on the form showing 
the amount of the allowable increase, the amount 
gi\en. and the balance that may be given later. 
Ihe personnel actions submitted later must ref- 
erence the original reallocation. 

Statutory Authority G.S. 126-4. 

.0606 PERFORMANCE INCREASE 

ANNI\ ERSARY DATE (REPEALED) 

Statutory Authority G.S. 126-4. 

.0608 REALLOCATION 

Reallocation is the assignment of a position to 
a different classification, documented through 
data collection and analysis according to cus- 
tomary professional procedure and approved by 
the State Personnel Director. 

Statutory Authority G.S. 126-4. 

.0609 REALLOCATION TO A HIGHER GRADE 

When an employee's position is assigned to a 
higher grade as a result of reallocation, subject to 
the availability of funds, the following shall ap- 
ply: 



NORTH CAROLINA REGISTER 



465 



PROPOSED RULES 



( 1 ) Salaries at the minimum rate shall be ad- 
justed to the new minimum rate. 

(2) Salanes at the permanent rate shall be ad- 
justed to the permanent rate of the new 
range, and may be adjusted further in ac- 
cordance with Paragraph (3) of this Rule. 

(3) Salaries within the range may remain the 
same; or if funds are available and where 
appropnate, individual salary adjustments 
may be considered, the total not to exceed 
five percent for each salary grade provided 
by the reallocation. Salary equity within the 
work unit and other management needs 
must be given consideration when making 
such requests. 

(4) Only in extreme, well-documented circum- 
stances will salary increases be considered 
which equate to more than five percent for 
each grade provided by the reallocation. 
Personnel forms must include the justifica- 
tion. 

(5) If the employee is to receive a performance 
salary increase on the same day as the real- 
location, the performance increase may be 
given before a salary adjustment is consid- 
ered, 

(6) hi no case shall the ma.ximum of the higher 
range be exceeded. 

Stalutoij Authority G.S. 126-4. 

.0610 REALLOC.VTION TO A LOWER GRADE 

(a) When an employee's position is assigned to 
a lower grade, the employee's salary may remain 
the same if it is within the lower range; or it may 
be reduced to any salary in the lower range to 
equitably relate to other employees' salaries in 
the same or related classifications. 

(b) If the employee's salary is above the maxi- 
mum of the grade to which the position is as- 
signed, one of the following options will apply; 

(1) When reduction in level of the position 
results from management decisions on 
program changes, reorganization, or other 
management needs not associated with 
the employee's demonstrated motivation, 
capability, acceptance of responsibility or 
lack of performance, the salary of the em- 
ployee may remain above the new maxi- 
mum as long as the employee remains in 
the same classification or is promoted to 
a higlier level position. No further in- 
creases, other than legislative increases, 
may be granted as long as the salary re- 
mains above the maximum. If, however, 
a position is available, the le\el of which 
would not be as detrimental to the af- 
fected employee, and if the employee is 



qualified but not placed into the position, 
then the option in Paragraph (2) of this 
Rule shall apply. 
(2) When reduction in level of the position 
results from management's removal of 
duties and responsibilities from the em- 
ployee because of change in demonstrated 
motivation, capability, acceptance of re- 
sponsibility, or lack of performance, the 
effect is the same as a demotion and the 
salary must be reduced at least to the 
maximum as required by the policy on 
demotion, 
(c) It is a management responsibility to avoid 
creation of salary inequities among employees. 
Each case must be evaluated to determine which 
of the salary administration alternatives is most 
appropriate, based on the circumstances as doc- 
umented by the employing agency. It is a further 
management responsibility to consider feasible 
alternatives of job design or employee transfer 
which would restore the employee to a position 
at the former grade level in cases not based on 
employee performance. Feasible alternatives are 
dependent upon such factors as organizational 
constraint, program need, and employee quali- 
fications. 

Statutory Authority G.S. 126-4. 

SECTION .0700 - SALARY RANGE REVISION 

.0702 ASSIGNMENT TO HIGHER GRADE 
(REPEALED) 

Statutory Authority G.S. 126-4. 

.0704 PERFORMANCE INCREASE 

ANNIVERSARY DATE (REPEALED) 

Statutory Authority G.S. 126-4. 

.0705 CLASSES DETERMINED NOT LABOR- 
MARKET-COMPETITIVE 

When critical recruitment or employee retention 
problems are officially recognized by the State 
Personnel Director, but salary range revisions are 
not necessary, feasible or practical (i.e., when 
range minimums are not competitive, but maxi- 
mums are adequate), the Director may authorize 
a higher special entry rate, fe ouch oaaoo, th« 
dirL ' ctor may a4*>» authorii' e agonoios, subject te 
t4*i» availability *»f fund ' ; . , te grant in range »4t- 
ju ' . i tinonto te prL> !. L>nt employooc i as with a salary 
rang e rovioion, except tltat- »» nalaP ; ' vs allow e d 
abov e the maximum. Priority shall h% given te 
employooo whose salaries afe at- ef below ap- 
pros'ed hiring rates a«4 te employooo whoso re- 
tention is ontical te organii'-ational noodo. SaloT t ' 



466 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



incruu ' joo r i lmll Het b» giv e n t» L ' mplovL'ijr i whoao 
pL'dunnanLO do e t i Htrt vscirrunt r e cognition. 

Slatutory Authority G.S. J 26-4. 

.0706 ASSK.NMENT TO A HIGHER GRADE 

When an employee's position is assigned to a 
higlier grade as a result of salary range revision, 
subject to the availability of funds and satisfac- 
tory employee performance, the following shall 
appl\: 

( 1 ) Salaries at the minimum rate shall be ad- 
justed to the new minimum rate. 

(2) Salaries at the permanent rate shall be ad- 
justed to the permanent rate of the new 
range, and may be adjusted further in ac- 
cordance with Paragraph (3) of this Rule. 

(3) Salaries within the range may remain the 
same; or if funds are available and where 
appropriate, indisidual salary adjustments 
may be considered, the total not to exceed 
five percent for each salary grade provided 
by the salary range revision. Salary equity 
within the work unit and other management 
needs must be gi\en consideration when 
making such requests. 

(4) If the employee is to receive a performance 
salary increase on the same day as the salary 
range rc\ision, the increase may be given 
before a salary adjustment is considered. 

(5) When a range rexision occurs but the entry 
rate remains the same because of a previ- 
ously existing special entry rate, no salary 
adjustments are allowed if the employee re- 
ceived the increase authorized by the special 
entry rate. 

(6) In no case shall the maximum of the higher 
range be exceeded. 

Statutory Authority G.S. 126-4. 

.0707 EFFECTIVE DATE 

(a) Salary adjustments shall be made efTective 
on the first day of the pay period nearest to the 
effective date of the salary range revision. Salary 
rates to the permanent rate (or minimum, if ap- 
plicable) shall be given on the effective date of the 
salary range revision. If funds are not available, 
the increase shall be given from the first a\ailable 
salary reser\e funds and made retroactive to the 
effective date of the salary range re\ision. Em- 
ployees who are denied an adjustment because 
of poor performance may receive the adjustment 
on a current basis if when performance becomes 
satisfactory. 

(b) Salary adjustments v\ithin the range are 
optional and, if recommended, should be given 
on the effective date of the salar,' range revision. 



If funds are not available for the desired amount, 
the mcrease (or additional increases, up to the full 
allowable amount) may be given at a later date(s) 
on a current basis. If the agency uses this option, 
a notation must be entered on the form indicat- 
ing the amount of the allowable increase, the 
amount given, and the balance that may be given 
later. The personnel actions submitted later 
must reference the original salary range revision. 

Statutory Authority G.S. 126-4. 

.0708 SALARY ADMINISTRATION: SPECIAL 
ENTRY RATES 

Special entry rates will be announced as a per- 
cent above the minimum and as a rate of pay. 
Agencies experiencing recruitment and retention 
difficulties may elect to use the special entry rates. 
Priority for salary increases shall be given to em- 
ployees whose salaries are at or below special 
entry rates. Salary increases shall not be given 
to employees whose performance is not at a sat- 
isfactory level. Salary increases are not entitle- 
ments and all are subject to the availability of 
funds in the agency budget. When the agency 
decides to use the new rates, the following shall 
apply: 

( 1 ) Salaries may be adjusted to the special entry 
rate on the date the agency decides to use the 
new rate. If funds are not available, but 
become available at a later time, adjustments 
may be retroactive. 

(2) Salaries at or above the special entry rate 
may be adjusted by the percent authorized 
above the minimum. If funds are not 
available, but become available at a later 
time, adjustments may be made on a current 
basis. If a higher special entry rate is au- 
thorized for a class that already has a special 
entry rate, the employee may receive an ad- 
justment for up to the percent authorized 
between the two special entry rates. 

(3) When a special entry rate authorization 
does not include all classes within a class 
series, consideration for adjustments for 
employees in the class(es) without a special 
entry rate will be on an individual basis. 
Written justification must be submitted with 
such requests. 

(4) In no case shall the maximum of the salary 
range be exceeded. 

Statutory Authority G.S. 126-4. 

.0709 GEOGRAPHIC DIFFERENTIAL 

(a) When critical recruitment or employee re- 
tention problems in a specific location are offi- 
cially recognized by the State Personnel Director, 



NORTH CAROLINA REGISTER 



467 



PROPOSED RULES 



but scdar>' range revisions are not necessary, fea- 
sible or practical (i.e., when both minimums and 
maxjinums are not competitive in a specific lo- 
cation but are competitive in most locations), the 
Director may authonze a higher salary range for 
those specific locations. 

(b) Geographic differentials will be announced 
as a salaiy grade above the estabUshed salary 
range. Agencies experiencing recruitment and 
retention ditficulties may elect to use the ge- 
ographic differential. Salary increases shall not 
be given to employees whose performance is not 
at a satisfactory' level. Salajy increases are not 
entitlements and all are subject to the availabihty 
of funds in the agency budget. \Vlien geographic 
differentials are in effect, all salary administration 
policies are applied as if the classification were at 
the higher grade. 

Statutory Authority G.S. 126-4. 

.0710 AVOID.ANCE OF S,\L.\RV INEQLITIES 

In order to avoid inequities, it is particularly 
important for agency heads to make a study of 
all salaries within an agency and to give careful 
consideration to each individual case before re- 
commending salary adjustments. 

Statutory Authority G.S. 126-4. 

SKCl ION .0800 - INITIAL CLASSIFIC.\TION 

.OSOI I'OI.ICV 

Initial classitication occurs in the following sit- 
uations: 

(1) when a position or a group of positions are 
classified and brought under the State Per- 
sonnel Act; 

(2) when a position under the Personnel Act, 
but not officially classified, is reviewed and 
a permanent classification and salary range 
is assigned. 

Statutory Authority G.S. 126-4. 

.0X02 RATE BELOW MINIMUM (REPEALED) 
.0803 RAIL \VH HIN ASSIGNED R.-VNGE 
(RKI'KAI ED) 

Statutory Authority G.S. 126-4. 

.0806 PERFORMANCE INCRE.VSE 

ANNI\ ERSARY DATE (REPEALED) 

Statutory Authority G.S. 126-4. 

.0808 SALARY RATE 

(a) If the employee is given probationary' status 
and the salarv is below the minimum rate for the 



range assigned, it shall be adjusted to the new 
minimum rate. If the employee is given perma- 
nent status and the salary is below the permanent 
rate, it shall be adjusted to the permanent rate 
of the range assigned. 

(b) If the employee's salary falls within the 
range assigned to the position, it shall remain 
unchanged. 

Statutory Authority G.S. 126-4. 

SECTION .0900 - TRANSFER 

.0901 DEFINITIONS 

(c) Promotions or demotions may occur si- 
multaneously with transfers. 

Statutory Authority G.S. 126-4. 

.0904 SALARY RATE: PERFORMANCE 
INCREASE ANNIVERSARY DATE 
(REPEALED) 

.0905 BENEFITS TRANSFERRED (REPEALED) 

Statutory Authority G.S. 126-4. 

.0906 DETERMINING DATE OF TR.ANSFER 

(a) If an employee reports to work the first 
workday following separation, the releasing 
agency shall cany the employee on its payroll 
through the day prior to the effective date of the 
transfer even though the separation date may fall 
on a non-workday. An exception may be made 
when the releasing date falls on a non-workday 
at the first of the month, in which case the 
pickup should be made on the frrst day of the 
month. If other time is involved, such as hoU- 
davs or approved vacation, the releasing agency 
and the receiving agency shaU agree upon who 
wiU pay the employee. 

Statutory Authority G.S. 126-4. 

.0908 JOB QLALIFICATIONS 

(c) If the transfer is to a lower class and results 
in a demotion or reassignment, the 
Demotion Reassignment Policv will tl*© required 
qualificutiono fof domotion apply. (See 25 
NCAC ID .0400.) 

Statutory Authority G.S. 126-4. 

.0910 SALARY RATE 

(a) If an employee transfers to a position hav- 
ing the same salary grade, the salary shall remain 
unchanged. (Exception: The salary may be re- 
duced if there is a lack of sufficient funds or if it 
results in the creation of a serious internal salary 
inequity.) 



46S 



NORTH CAROLINA REGISTER 



PROPOSED RULES 



(b) It the transfer is to a higlicr class and results 
in a promiUion, the Pronation Policy will apply. 
(Sec 25 NCAC ID .(BOO.) 

(c) it the transfer is to a lower class and results 
in a demotion or reassignment, the 
Demotion Reassitmment Policy will apply. (See 
25 NCAC ID .0400.) 

(d) If an employee is in an agency not utilizing 
an authorized special entry rate and transfers to 
an agency which does, the special entry rate can- 
ni)t be used as justification for a salary increase 
if both work stations are within the same ge- 
ographic area, i.e., Research Triangle. 

(e) If an employee is recei\ing a higlier rate of 
pay by virtue of working m a position to which 
a geographic differential applies and transfers to 
a position to which a geographic differential does 
not apply (whether in the same geographic area 
to a position without a differential, or to the 
same job vn a geographic area without a differ- 
ential), the employee's pay rate must be reduced 
by the amount of the differential the employee 
had been receiving. 

Statutory Authority G.S. 126-4. 

.0911 HKNFmS .WD RF.CORDS 
TRANSI KRRKD 

(a) When an employee transfers to another 
agency, all unused sick and vacation leave shall 
be transferred. If the employee transfers to an 
exempt position in which leave will not be cred- 
ited the same as employees subject to the Per- 
sonnel Act, accumulated vacation shall be paid 
for in a lump sum. Accumulated sick leave will 
be transferred. 

(b) The personnel file, as defined by statute, 
shall be transferred to the receiving agency. 

Statutory Authority G.S. 126-4: 126-22. 

SECTION .2200 - PAYMENT OF SALARY 

.2201 I'A^MEN I OF SALARY TO 
EMIM.OYEES 

Every state agency shall pay every employee all 
wages earned and accruing to that employee on 
the regular payday for that agency. 

Statutory Authority G.S. 126-4(10). 

.2202 PA^ MENT TO SEPARATED 
EMPLOYEES 

(a) Employees who separate from employment 
with the state shall be paid all salary due no later 
than the next scheduled payday. 

(b) No money shall be withheld from a final 
payment to a separated employee except for rea- 
sons set forth in this Rule. 



(c) The employing agency may withhold mo- 
ney from a final salary payment to a separated 
employee to recover the cost of state property, 
equipment, uniforms, tools or other items owned 
by the state and not returned to the employing 
agency by the separated employee. 

(d) The employing agency shall withhold mo- 
ney from a final salary payment to a separated 
employee to pay for overdrawn vacation or sick 
leave or other legally recognized fmancial obli- 
gation to the employing agency outstanding at 
the time of the employee's separation. 

(e) Failure by the separated employee to per- 
form one or more job responsibilities or other 
work-related acts prior to separation shall not be 
cause for withholding of any salary due to the 
employee at separation. 

Statutory' Authority G.S. 126-4(10). 

.2203 POSTING OF NOTICE 

Provisions of this Section shall be posted 
prominently at least in every agency and univer- 
sity personnel office and elsewhere as the em- 
ploying agency deems necessary. 

Statutory Authority G.S. l26-4( 10). 

SUBCHAPTER IE - EMPLOYEE BENEFITS 

SECTION .1000 - MISCELLANEOUS LEAVE 

.1007 LEAVE WITH V\\ FOR TIME TO 
LOCATE NEW RESIDENCE 

It is desirable that an employee make a decision 
on permanent living arrangements prior to the 
time of transfer to the new duty station. Leave 
with pay may be granted up to a maximum of 
three trips of three days each to locate a new re- 
sidence. The agency shall consider the employ- 
ee's effort being exerted, and progress made, in 
order to determine if three trips are necessary. 

Statutory Authority G.S. 126-4. 

.1008 LEAVE WITH PAY WHEN MOVING 
TO NEW RESIDENCE 

Leave with pay shall be granted for two days 
when the employee moves household and per- 
sonal goods from the old residence to the new 
one. The agency may grant additional days of 
leave with pay if the distance between the old and 
new duty stations warrants tfiis, or if other un- 
controllable factors require a longer period of 
time. 

Statutory Authority G.S. 126-4. 



NORTH CAROLINA REGISTER 



469 



PROPOSED RULES 



SI IK II Al'TKR 111 - RKCRl ITMENT AND 
SELECTION 

SKCnON .0600 - GENERAL PROVISIONS 

.0602 I'OS UNO AND ANNOLNCEMENT OF 
\ A( ANCIES 

(b) If the decision is made, initially or at any 
time a \acancy remains open, to receive appb- 
cants from withm the overall state government 
workforce, that \acancy shall be listed with the 
Oflicc oi' .State Personnel for the purpose of in- 
forming cuiTcnt state employees of the opening. 
Such \acancies shall have an application period 
of not less than seven work days from the time 
the hstmg is recei\ed by the Office of State Per- 
sonnel. I'ach \acancy for internal posting or 
listing with the OtTice of State Personnel will be 
dcscnbcd in an announcement which includes at 
minimum the title, salary range, key duties, 
knowledge and skill requirements, minimum ed- 
ucation and experience standard, the application 
period and the appropriate contact person. 
Posting rccjuirements shall not apply to: 



(l) 



\'acancies which must be used to meet 
management necessity, for which an 
agency will not openly recruit. Examples 
include vacancies committed to a budget 
reduction, vacancies used tor disciplinar>' 
transfers or demotions, use of an existing 
\acancy to avoid reduction m force, 
transfer of an employee to an existing 
cipcning to a\oid the threat of bodily 
harm, and the promotion of an employee 
into an opening under a formal, pre-ex- 
isting "understudy arrangement". 

(2) \'acancies for positions which have been 
desiiinated polic\"-makm2 exempt under 
Cj.sT 126-5(di. 

(3) \'acancics which must be filled imme- 
diately to prevent work stoppage in con- 
stant demand situations, or to protect the 
public health, safety, or security. 

(4) Vacancies which are not fdled by open 
recruitment, but rather by specific and 
targeted recruitment of special groups for 
the Careers in Government, Model Co- 
operative Education and state government 
intern programs. 

The decision to exercise a \acancv postinsj ex- 
ception based upon Paragraphs (b)( 1 ) and (3) of 
this Rule shall he the respi)nsihililv of the agencv 
head. The Office of State Personnel is available 
upon request to provide counsel and guidance in 
instances of uncertamtv. 



StatutDiy Anihority G.S. l26-4[4l. 
.0623 niS( ll'l INARV ACTION 



When credentiid or work history falsification is 
discovered after employment by the state, disci- 
plinary action is required and shall be adminis- 
tered in accordance with the following criteria: 
(2) In all other post-hire discovery cases of false 
or misleading information, disciplinary ac- 
tion will be taken, but the severity of such 
action shall be at the discretion of the agency 
head. The actions to be taken must be at 
least one, or a combination, of the follow- 
mg: may include: dismissal; demotion; re- 
duction in pay; wntten reprimand. 
The agency head's decision, while discretionary, 
should consider: sensitivity of the agency's mis- 
sion: sensitivity of the employee's position; effect 
of the false information on the hiiing decision; 
advantage gained by the employee over other 
applicants; effect of the false rnformation on the 
startmg salary; and the advantage gained by em- 
ployee in subsequent promotion and salary in- 
creases. Job performance shall not be considered 
in such cases, nor can decisions be made on the 
basis of race, creed, color, religion, national ori- 
jin, '"."X, age, handicapped condition, or political 
affiliations. 

Statutory Authority G.S. 126-4; 126-30. 

SLBCILXPTER I.I - EMPLOYEE RELATIONS 

SECTION .0600 - DISCIPLINARY ACTION: 
SUSPENSION AND DISMISSAL 

.0606 DISMISSAL 

Before an employee ma\ be dismissed on the 
basis of job performance, the following shall oc- 
cur: 

(2) A pre-dismissal conference shall be held 
between the person recommending dismissal 
and the employee. No third parties shall be 
present at this conference, including attor- 
neys, other representatives or witnesses. 
The management representative shall pror . 
e«4- giN'e the employee with a i i i i ritton notice 
ootting e+H- including the specific reasons for 
the proposed dismissal and a brief summary 
of the information which management be- 
lic\es supports the proposed dismissal. The 
employee shall ha\e the right to respond to 
that ' . vrittL'n notice of proposed dismissal in 
the conference. 

( 5) I'pon dismissal on the basis of unsatisfac- 
tory' ]ob performance only an cmplovee may 
be given up to two weeks pay in lieu ol two 
weeks' notice, fe exceptional circumLitanceo, 
aft4 with t-l+e pnor appro' , al &f i^ State * 
Per '. onnel Director ef y* designee, a pay 
ment ©f ap t» twe weeks' oalar/ H«y b« 
made m li^ f*i notice. Pav in lieu of notice 



4'0 



NORTH CAROLirs \ REGISTER 



PROPOSED RULES 



shall not apply to dismissals based on per- 
sonal conduct. 

Statutory Authority G.S. l26-4(7a). 
SLBCIIAPTFR IK - PERSONNEL TRAINING 

SECTION .0600 - WORK 
I'LANNING/PERFORVIANCE REVIEW 

.0603 POLICY (REPEALED) 

.0604 (.OALS (REPEALED) 

.0605 COMPONENTS OF THE SYSTEM 

(REPEALED) 
.0606 DOCLMENTATION (REPEALED) 



.0607 RELATIONSHIP OF WORK PLANNING 
AND PERFORMANCE REVIEW 
(REPEALED) 

.0608 PROGRAM ACCOLINTABILITY: 
MONITORING/ASSESSMENT/ 
IMPROVEMENT (REPEALED) 

.0609 RESPONSIBILITIES OF THE OFFICE 
OF STATE PERSONNEL (REPEALED) 

.0610 RESPONSIBILITIES OF 

DEPARTMENTS: AGENCIES: 
INSTITLTIONS (REPEALED) 

.061 1 RESPONSIBILITIES OF MANAGERS 
AND SUPERVISOR (REPEALED) 



Statutory Authority G.S. 
126-4. 



I2l-5(b).(c) and (d); 



NORTH CAROLINA REGISTER 



471 



FINAL RULES 



L^' pon request from the adopting agency, the 
text of rules will be published in this section. 

Y'V hen the text of any adopted rule is iden- 
tical to the text of that as proposed, adoption 
of the nule will be noted in the "List of Rules 
Codified" and the text of the adopted rule 
will not be republished. 

/x dopted rules filed by the Departments of 
Correction. Revenue and Transportation are 
published in this section. These departments 
are not subject to the provisions ofG.S. 1 508. 
.Article 2 requiring publication of proposed 
rules. 



TH LF 5 DKPARTMENT OF CORRECTION 

CHAPTER 2 - DIMSION OF PRISONS 

SLBCIIAPl ER 2F - CI STOD^ AND SECURITY 

SF( TION .1500 - USE OF FORCE 

.1502 M'l'MCAIION 

(a) Physical Force. Only the amount ot force 
that appears reasonably necessary will be used. 
Physical force may be used to mamtain reason- 
able order and security within the Di\'ision of 
Prisons only when necessarv' to pre%ent escape, 
injur," to citizens, staff or inmates or to prevent 
damage to property. Except in the event of an 
emergency which may result in injur,' or damage 
to propert\ . physical force should not be used 
until other methods of restoring order have been 
attempted. 

(b) Crowd Control Devices. 

(1) The Division of Prisons recognizes the use 
of a high pressure fire hose as a crowd 
control device. 

(2) The following provisions will govern the 
use of tear gas in canisters and all other 
tear gas weapons: 

(A) Tear gas will only be used as a fmal 
measure in the maintenance of order and 
security in the Division of Prisons and 
only under emergency conditions, unless 
specifically approved by area 
administrator institution head. The use 
of tear gas as a punishment is prohibited. 
Violations shall subject involved person- 
nel to appropriate disciplinary action. 

(B) Tear gas may not be used unless an exit 
is available or can be made readily avail- 
able for the inmates following the return 
of control. 



(C) Protective equipment approved by the 
Director of Prisons will be made available 
to correctional staff. 

(D) Only standard equipment approved by 
Director, Division of Prisons shall be em- 
ployed in the control of an emergency. 

(E) Tear gas equipment will be maintained 
and operational at all times. Sufficient 
quantities of tear gas and tear as ammu- 
nition to meet a continuing emergency 
will be maintained in the arsenal. 

(c) Indi\idual Control Devices. The following 
provisions will govern the use of individual con- 
trol devices: 

(1) Designated correctional officers assigned 
to units and institutions other than those 
designated to house youthful offenders 
will be authorized to carr>- hand-held billy 
clubs, riot batons, slap jacks and mace. 
Correctional officers at institutions desig- 
nated to house youthful offenders may be 
authorized to carry mace and or hand- 
held biUy clubs subject to approval of the 
manager of the youth services command. 
Area administrators and institution heads 
win be responsible for designating the se- 
curity posts which are authorized to carry 
individual control devices. Except under 
emergency conditions, individual control 
devices will be used only as a fmal means 
of maintaining order and security and after 
other reasonable means of ensuring order 
have been attempted. 

(2) Mechanical restraints or other physical 
restraints may be used to control inmates 
who ha\e threatened to mutilate them- 
selves. If the otTicer in charge deems this 
action necessar)-, he will temporarily re- 
strain the inmate and immediately contact 
the unit physician or area psychologist 
and the area administrator or institution 
head. Subject to instructions from the 
unit physician, the area administrator or 
institution head may authorize the use of 
restraints for a period not to exceed 48 
hours. The reasons for restraint will be 
documented on Form DC-141. If the 
unit physician or area psychologist feels 
that continued restraint is necessary to 
prevent self-mutilation after this period 
has expired, he will refer the inmate to the 
mental health clinic at Central Prison 
where he can be adequately supervised 
and treated. 

{?>} The otTicer in charge may take necessary 
action to secure and maintain control over 
restrained mmates. Every effort will be 
made to avoid undue physical hardship. 
Restrained inmates will be temporarily 



472 



NORTH CAROLINA REGISTER 



FINAL RULES 



rcleasL-d from their restraints every three 
hours during the first and second shifts so 
that they may eat, drink, and take care of 
their bodily functions. During the third 
shift, an inmate need not be temporarily 
released unless he requests release to take 
care of his bodily functions. However, 
periodic observation will be required dur- 
ing the night at one hour intervals and 
documented on Form DC- 141. 
(4) The Division of Prisons recognizes the use 
of a high pressure fire hose as a means for 
maintaining security. The following limi- 
tations apply to the use of a high pressure 
fire hose. The fire hose uill not be used 
against an inmate in a single cell unless the 
following conditions have been met: 

(A) The inmate is armed or is reasonably 
believed to be anned with a weapon 
which could cause serious injury to him- 
self or correctional staff. 

(B) The inmate has been verbally instructed 
to suiTcnder the weapon. 

(C) Tear gas has been used in an attempt 
to disarm the inmate, but the inmate still 
has access to the weapon. A detcnni- 
nation has been made by the officer in 
charge that the use of a baton is inappro- 
priate under the circumstances. 

(D) The use of the fire hose is personally 
approved by the institution head or in his 
absence the officer in charge of the unit 
or institution. 

(E) The fire hose will be used only in the 
presence and at the direction of the insti- 
tution head or in his absence the officer in 
charge of the unit. 

(F) The fire hose will be used under these 
circumstances only for the period of time 
which is required to disarm the inmate. 
Discharge of water against the head, face, 
groin and kidneys shall be avoided, if 
possible, if a fire hose is used against an 
indi\idual confined in a single cell. 

(G) Water pressure of the fire hose shall be 
recorded and documented by the institu- 
tion head or ofllcer in charge in any inci- 
dent involved in the use of fixe hoses. 

(H) After use of the fire hose, the inmate 
will be examined by correctional medical 
staff and issued dry clothing. 



(5) The following limitations will also apply 
to the use of force against a single inmate 
in a single cell; 

(A) Officers will not be assigned to a single 
cell segregation ceUblock unless they have 
completed the basic training program at 
the Criminal Justice Academy. 

(B) Whenever correctional staff remove an 
individual inmate from a single cell due to 
the fact that this iiunate is causing a dis- 
ruption, a sergeant (or someone in the 
chain of command above a sergeant) will 
be present. 

(C) When a single inmate is removed from 
a single cell in a medical or psychiatric fa- 
cility due to a medical or psychiatric 
problem, appropriate medical supervisor 
or a sergeant will be present. 

(d) Firearms. The use of fuearms will be au- 
thorized only during an intended escape, or to 
prevent serious injury to staff, inmates, or citi- 
zens. 

Hisioty Note: Statutory Authority G.S. 
148-11: 148-46; 
Eff. July I, 1976; 
Amended Eff. August I. 1989; February J, 1986. 

SL BCH AFTER 2H - RELIGIOUS PRACTICE 

SECTION .0100 - ISLAMIC SERVICES AND 
I'RACIICES 

.0105 APrRO\ ED RELIGIOLS PROPERTY 

(a) Prayer Rugs - Muslim inmates shall be al- 
lowed to purchase with their own funds a prayer 
rug not to exceed 22 inches by 44 inches. Ap- 
proved order forms and distributors wUl be uti- 
lized for the purchase. 

(b) Religious Headcoverings - Inmates may 
possess and wear kufi prayer caps and yarmulkes 
as a part of daily dress throughout the Division 
of Prisons. Other religious headcoverings must 
be submitted for approval to the Director of Pri- 
sons. Religious headcoverings may be worn at 
all times, except they shall be required to be re- 
moved for searches. Inmates may purchase reli- 
gious headcoverings with their own funds, as 
with other approved personal clothing items. 

History Note: Statutory Authority G.S. 
148-11; 148-24; 
Eff December I, 1986; 
Amended Eff August I, 1989. 



NORTH CAROLINA REGISTER 



473 



NC AC INDEX 



in LK/MA.IOR DIMSIONS OF THE NORTH CAROLINA ADMINISTRATIVE CODE 
niLE DEPARIMENT 

1 /Vdministration, Department of 

2 Agriculture, Department of 

3 Auditor, Department of State 

4 Commerce, Department of 

5 Corrections, Department of 

6 Council of State 

7 Cultural Resources, Department of 

8 Elections, State Board of 

9 Governor, Office of the 

10 Human Resources, Department of 

1 1 Insurance, Department of 

12 Justice, Department of 

13 labor, Department of 

14A Crime Control and Public Safety, Department of 

15 Natural Resources and Community Development, Department of 

16 Public Education, Department of 

17 Revenue, Department of 

18 Secretary of State, Department of 
19A Transportation, Department of 
20 Treasurer, Department of State 

*21 Occupational licensing Boards 

22 Administrative Procedures 

23 Community Colleges, Department of 

24 Independent Agencies 

25 State Personnel, Office of 

26 Administrative Hearings, Office of 

NOTE: Title 21 contains the chapters of the various occupational licensing boards. 
CHAPTER LICENSING BOARDS 

2 Architecture, Bo;ird of 

4 Auctioneers, Commission for 

6 Barber Examiners. Board of 

8 Certified Public Accountant E.xamincrs, Board of 

10 Chiropractic Examiners, Board of 

12 General Contractors, Licensing Board for 

14 Cosmetic Art Examiners, Board of 

16 Dental Examiners, Board of 

18 Electrical Contractors, Board of Examiners of 

20 Foresters, Board of Registration for 

21 Geologists, Board of 

22 1 learing Aid Dealers and Fitters Board 
26 Landscape rVrchitects, Licensing Board of 

28 l^andscape Contractors, Registration Board of 

31 Martial & Family Therapy Certification Board 

32 Medical Examiners, Board of 

33 Midwifery Joint Committee 

34 Mortuary Science, Board of 

36 Nursing, Board of 

37 Nursing Home Administrators, Board of 

38 Occupational Therapists, Board of 
40 Opticians, Board of 

42 Optometry, Board of Examiners in 



474 NORTH CAROLINA REGISTER 



NC AC INDEX 



44 Osteopathic Examination and Registration, Board of 

46 Phannacy, Board of 

48 Physical Therapy Examiners, Board of 

50 Plumbing and Heating Contractors, Board of 

52 Podiatry Examiners, Board of 

53 Practicing Counselors, Board of 

54 Practicing Psychologists, Board of 

56 Professional Engineers and Land Surveyors, Board of 

58 Real Estate Commission 

60 Refrigeration Exiuniners, Board of 

62 Sanitarian Examiners, Board of 

63 Social Work, Certification Board for 

64 Speech and Language Pathologists and 

Audiologjsts, Board of Examiners of 

66 Veterinary Medical Board 



NOR TH CA ROLINA REGIS TER 475 



CUMULA TIVE INDEX 



CLMULA TIVE INDEX 

(April 1989 - March 1990) 



1989 - 1990 

Pages Issue 

1 - 151 1 - April 

152 - 192 2 - April 

193 - 216 3 - May 

217 - 289 4 - May 

290 - 311 5 - June 

312 - 364 6 - June 

365 - 454 7 - July 

455 - 477 8 - July 



AO - Administrative Order 

AG - Attorney General's Opinions 

C - Correction 

FR - Final Rule 

GS - General Statute 

JO - Judicial Orders or Decision 

M - Miscellaneous 

NP - Notice of Petitions 

PR - Proposed Rule 

SO - Statements of Organization 

TR - Temporar\' Rule 



ADMIMSIR Vrn E ORDER 

Administrati\e Order. 4, 152 

AGRICILTIRE 

Cotton Warehouse, 220 PR 

Markets, 217 PR 

N.C. Pesticide Board, 292 PR 

N.C. Plant Consenation Board, 196 PR 

N.C. State Fair. 217 PR 

Plant Industp.-, 153 PR, 218 PR 

COMMERCE 

Fmance Center, 368 PR 

N.C. Cemeter. Commission. 198 PR 

N.C. .Milk Commission, 455 PR 

COMMLAITV COLLEGES 

Board of Commumty Colleges, 352 PR 

CORRECTION 

Division of Prisons, 472 FR 



4-6 NOR TH CAROLINA REGIS TER 



CUMULA TIVE INDEX 



CI Ml R AL RKSOLRCES 

Archives aiid Histor>', 370 PR, 455 PR 
Arts Council, 371 PR 

KDICATION 

I:lementar>' and Secondary Education, 253 PR, 295 PR 

FINAL DECISION LETTERS 

Voting Rights Act, 5, 193, 367 

FINAL RULES 

List of Rules Codified, 183 FR, 274 FR, 303 FR, 445 FR 

C,0\ ERNOR/LT. GOVERNOR 

Executive Orders, 1, 290, 312, 365 

IIIMAN RESOl RCES 

Departmental Rules, 372 PR 

Facility Ser\ices, 199 PR, 377 PR 

Health Ser\ices, 153 PR, 315 PR, 405 PR 

Medical Assistance, 158 PR, 294 PR, 455 PR 

Mental Health: Mental Retardation and Substance Abuse Services, 17 PR, 417 PR 

Vocational Rehabilitation Services, 7 PR 

INDEPENDENT AGENCIES 

Housing Finance Agency, 459 PR 

INSURANCE 

I-ire and Casualty Division, 202 PR 

LICENSrsC, BOARDS 

Architecture, 34<) PR 

CPA Examiners, 458 PR 

Landscape Architects, 443 PR 

North Carolina Certification Board for Social Work, 179 PR 

Nursmg, Board of, 296 PR 

Ph\ sical Therapy Examiners, 262 PR 

NA lURAL RESOURCES AND COMMLTSITV DEVELOP.MEIVT 

Coastal Management, 239 PR 

Community Assistance, 134 PR 

Economic Opportunity, 178 PR 

Environmental Management, 18 PR, 160 PR, 202 PR, 238 PR, 295 PR, 347 PR, 431 PR, 456 PR 

Marine Fisheries, 47 PR, 457 PR 

WUdUfe Resources and Water Safety, 134 PR, 178 PR, 207 PR, 252 PR 

RE\ENUE 

Sales and Use Tax, 353 FR 

STATE PERSONNEL 

State Personnel Commission, 181 PR, 210 PR, 265 PR, 461 PR 

TRANSPORTATION 

Division of Motor Vehicles, 140 FR 



NOR TH CA ROLINA REGIS TER 4 77 



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